Mitsui & Co., Ltd., Mitsui & Co. Energy Trading Singapore Pte. Ltd. (METS), Maersk Oil Trading, a part of A.P Moller – Maersk, and American Bureau of Shipping (ABS) have agreed to jointly conduct a detailed feasibility study of methanol bunkering logistics in Singapore.
The participants intend to investigate the design of the bunkering vessel, safe operating procedures, fuel storage and regulatory considerations by utilising both Maersk Oil Trading and Mitsui group’s presence in the Singapore marine fuel market.
For its part, ABS will support the study by providing an operational risk assessment.
This project is targeting to conduct an actual ship-to-ship bunkering operation on a vessel in the first half of 2023.
This joint project is in line with the International Maritime Organization’s (IMO) initial strategy to halve greenhouse gas (GHG) emissions within the shipping industry by 2050 compared to 2008 levels.
It is also aligned with the direction of the Maritime and Port Authority of Singapore (MPA) to achieve decarbonisation of the maritime industry in Singapore.
Green methanol is expected to be one of the promising alternative marine fuels with the potential to make significant contributions to reducing GHG emissions in the shipping industry and project participants believe that the establishment of a safe and reliable operational platform is valuable to Singapore as a leading bunkering location globally.
“At A.P. Moller – Maersk, we have made great progress in identifying sources of green methanol and now developing and proving we can safely deliver it to our vessels is a key priority for us. It will contribute strongly to our target of achieving net zero greenhouse gas emissions by 2040″ , said Mikkel Kannegard , head of Maersk Oil Trading.
The spokesperson of MPA added: “As the world’s top bunkering and transhipment hub port, MPA welcomes the news that our shipping industry is working on the use of methanol as a potential marine fuel. We look forward to engagement with the consortium on their trial, the outcomes of which will be useful for the global transition towards sustainable shipping.”
“Methanol presents an immediate and promising solution with practical advantages in storage, handling and carbon intensity reduction potential which is gaining traction in the market. The further development of green methanol (e.g. electrolysis and biogenic carbon) provides a viable option for carbon-neutral operations. ABS is proud to be able to use its industry-leading experience with methanol vessels to support this project”, commented Panos Koutsourakis , ABS director, Sustainability Strategy.